Respite for Uber, Bolt as Lagos makes U-turn on new taxes


The Lagos State Government has rescinded its decision to increase taxes on ride-hailing platforms – Uber and Bolt.

The new regulations for e-hailing taxing services were set to come into effect on August 20, 2020.

The policy for instance would have mandated all e-hailing taxi firms to pay N25 million yearly to the state government per 1,001 vehicles for an operational licence, while they will pay N10 million yearly for renewal on every 1,001 cars in their pool.

However, following a meeting the Lagos State Government held on Friday with the ride-hailing stakeholders which was chaired by Governor Babajide Sanwo-Olu at the Lagos House, Marina, the parties agreed on a 20 per cent reduction on operational licensing fees among others.

Social media aide of the governor Gawat Jubril listed the resolutions reached at the meeting on Twitter.

He wrote: “There must be comprehensive insurance cover which will cover drivers and passengers.

“A reduction of 20% on the Operational Licensing Fees.

“A flat fee of N20 to be known as road improvement fund which will be levied on each ride/trip.

“A 90-Day compliance with documentation for the drivers – There will be a one-stop shop for all the documentation (especially LASSRA Card- Lagos State Resident Registration Agency.

“E- Hailing companies to work with various bodies in the business for a good relationship.

“There must be due diligence and background checks on all drivers.

“Riders should desist from offline trips and transactions.

“E-Hailing Firms must make necessary data available to the Govt.”

According to Mr Jubril, the Commissioner for Transportation Frederic Oladeinde said the documentation of drivers is for the safety of Lagosians using the ride-hailing services to enable the state easily track drivers in case of emergency and other security and safety issues.

The new policy comes months after motorcycle hailing services like GOKADA, MaxNG and O’Ride were forced to stop operations following a policy introduced by the Sanwo-Olu administration.